232 PARLIAMENTARY REPORTER. 1873
FRIDAY, May 30th.
1873 PARLIAMENTARY REPORTER. 235
AFTERNOON SESSION
Hon. LEADER OF THE GOVERNMENT moved that the House do now
resolve itself into a Committee of the
Whole on Ways and Means, and said
that it was the intention of the Government to submit a measure to increase the duty
on several articles imported into the Island, for the purpose of
assimilating our tariff to that of the Dominion. An undue advantage had been
taken of our low tariff by certain parties
in shipping large quantities of liquors to
this Island for the purpose of re-shipping them to the Dominion, duty free,
after the first of July next.
MR. LAIRD said that the proposed
increase would not be very burdensome upon this Colony, and the Dominion Government
had a right to
expect us to deal justly and fairly with
them in reference to this matter. As
Canada has dealt very liberally with
us, it was only fair that Rum, &c.,
should pay as heavy duty here as
there, during the month we remain out
236 PARLIAMENTARY REPORTER. 1873
of the Dominion. It had been stated in some of the Halifax newspapers, that if any
Rum were re-shipped to the other Provinces, from this Island, after the union, it
would have to pay the difference between their duty and ours. But the proposed arrangement
would, in his opinion, be more satisfactory to both parties.
Hon. LEADER OF THE GOVERNMENT said that if, in addition to the $25,000, we received the difference or increase
of duty, the whole would amount to over $100,000, which would make a vast difference
for all time to come, as the amount is a large one. All this had been gained by not
adopting the course recommended by the Opposition while passing the Revenue Bill,
&c. The Government had not made up their minds to go into Confederation, if better
Terms had not been secured. After passing the Address to Her Majesty to unite this
Colony to the Dominion, the tariff of this Island should not be allowed to remain
in such a way as to lessen the revenue of Canada for the remaining month. It was,
he believed, the intention of the Dominion Government to protect themselves by compelling
all who re-shipped liquors from this Island after the union, to pay the difference
between our present duty and theirs. It was a rather difficult matter to make an arrangement
that would not injure some individuals, but the equalizing of the duty on certain
articles to that of the Dominion, would prevent loss to the Dominion Revenue.
MR. SINCLAIR thought the hon. Leader of the Government had shown good reason why this change in
the duties upon certain articles should be made. Merchants were re-shipping boots
and shoes to the Dominion, and intended, after the union, to bring them back here
duty free. We should, therefore, look after our own interests, while the Dominion
looked after its
own. In order to do this, it would be necessary to pass a resolution to protect our
interests, as they had done in reference to theirs. The Dominion Government was losing
its Revenue by the way in which ours at present stood, and it was only fair and just
that matters should be put right in order that both parties should be protected. He
saw that about forty mowing machines had been re-shipped to the Dominion in order
that they might be brought back, after the union, duty free. This should be prevented
by some means or other. If the Dominion Parliament were so sensitive to their interests,
we should act in a similar manner, and prevent the reshipment of goods, upon which
no duty had been paid.
MR. L. H. DAVIES said that when the Revenue Bill was submitted, the same amendment as that now proposed
by the hon. Leader of the Government was submitted by the Opposition, but it was voted
down by the Government, who informed the House that the Bill would remain as then
passed, till the Island entered the Dominion. Merchants, generally, had acted under
that impression, and were now importing a large quantity of goods, on the understanding
that no amendment would be made in the Revenue Bill till the first of July next. The
amendment would have been perfectly fair if made when the Bill was passed ; but under
present circumstances, it was unfair to those now importing goods. The gain to the
Revenue of this Island, by our not raising the duties equal to those of the Dominion
till now, cannot be recognized as a legitimate one.
On motion, the House resolved itself into a Committee of Ways and Means.
Hon. LEADER OF THE GOVERNMENT said that the remaks made by the hon. member for New London in
1873 PARLIAMENTARY REPORTER. 237
reference to the necessity of protecting
our own interests, were correct, and to the point. The matter was well worthy of the
consideration of the House, but it was not easy to provide the necessary remedy, without
injuring somebody's interests. It was to the interests of the Dominion to protect
her own manufactures, and she had done so. The article of Sugar, for instance, was
one of them. He believed that large quantities of goods had been imported into this
Island by speculators, who did not belong to this Island, and if they had to pay the
difference of duty when they re-ship to the other Provinces, there will be no money
lost by our people. Our Treasury would receive forty cents per gallon of the duties
on liquors, and the Dominion would receive the other forty. He would move the following
resolution :—
Resolved, that the Act 36th, Vic. Cap. I. entitled " An Act for raising a Revenue, " be amended
by increasing the duties impost on Rum, Spirits, Sugar, brown and muscovado, Tobacco,
manufactured, and Cigars, as follows :—
The duty on Rum to be 80 cents per gallon. Spirits and strong waters imported into
this Island, mixed with any ingredient or ingredients, are, although thereby coming
under the denomination of Proprietory Medicines, Tinctures, Essences, Extracts, or
any other denominations, shall be nevertheless deemed Spirits, or strong waters, and
are subject to duty as such, $1.20 per gallon. Spirits and strong waters, imported
into this Island, $1.20 per gallon. Sugar equal to or about No. 9 Dutch, 1 cent per
lb., and 25 per cent ad valorem. Sugar below No. 9 Dutch standard 3/4 of a cent per
lb., and 25 per cent ad valorem. Tobacco manufactured, 20 cents per lb., and 12 1/2
per cent. ad valorem. Cigars 45 cents per lb.
MR. LAIRD said that the more he considered the course followed by the
Opposition when the Revenue Bill was passed, the clearer he saw it to be the correct
one. They understood that if we entered Confederation the course they proposed would
be fair to the Dominion, and would prevent jobbery in reference to the duties, and
at the same time, would be just and fair to our own merchants. If we had remained
out of Confederation, we should have required the extra duties for our own purposes.
If the last delegation had failed, and Confederation, had not been accepted, the amendment
proposed by the Opposition would have been the means of increasing our Revenue during
the interval. The Opposition were on the right track, and in the end it would prove
to be so. It was now proposed to increase the duties on a few of the principal articles
imported. The chief difference in the duty would be on Rum. It seemed that the politicians
of Canada were too shrewd to allow their own interests to be endangered by the loss
of a portion of their Revenue, and had arranged to demand the extra duty on goods
reshipped to the other Provinces after the first of July. He understood there was
sufficient liquor in store on this Island for three years' consumption ! Every puncheon
not required for present use, would be re-shipped, and drawbacks would be taken out
by those speculators in rum. All the duties they would have to pay would be the difference
between our present tariff and that of the Dominion. The hon. Leader of the Government
had referred to the difficulty of preventing the re-shipment of goods to the Dominion,
and the evasion of the payment of the duties upon them. There was but one course to
be taken, and that was to repeal the clause in the Revenue Bill permitting drawbacks
upon goods. If no drawbacks were allowed till after the union, we should be able to
have our Revenue ; but unless this were done, everything im
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PARLIAMENTARY REPORTER. 1873
ported from the Dominion would disappear before the first of July.